State
Life insurance in Rhode Island
Rhode Island life insurance rules: $300,000 guaranty protection, a 20-day free look, 9% interest on death claims from the date of death, and a state estate tax.
Guaranty association protection
| Guaranty association | Rhode Island Life & Health Insurance Guaranty Association |
|---|---|
| Life insurance death benefits | $300,000 |
| Cash surrender value | $100,000 |
| Annuity benefits | $250,000 |
| Health benefits | $500,000 basic hospital, medical and surgical; $300,000 disability; $300,000 long-term care; $100,000 other health |
| Overall limit | $300,000 per life ($500,000 for hospital and medical coverage) |
| Notes | Allocated group annuities $250,000 per contract owner; structured settlements and governmental plan participants $250,000; unallocated group annuities $5,000,000 per contract holder; $5,000,000 cap for one owner of multiple nongroup life policies |
| Website | rilifega.org |
Policy rules
| Free-look period | 20 days from delivery for individual life policies and annuities delivered after January 1, 2008 (R.I. Gen. Laws 27-4-6.1) |
|---|---|
| Grace period | 31 days or one month for every premium after the first (R.I. Gen. Laws 27-4-6.2) |
| Interest on delayed claims | Interest at 9% a year from the date of death to the date of payment on life insurance and annuity death claims (R.I. Gen. Laws 27-4-26) |
| Community property state | No |
Taxes
| State estate tax | Yes; applies to estates over $1,838,056 for deaths on or after January 1, 2026 (indexed for inflation) |
|---|---|
| Inheritance tax | No |
Lost policies and unclaimed money
| Unclaimed property office | Rhode Island Unclaimed Property (Office of the General Treasurer) |
|---|---|
| Search unclaimed property | findrimoney.com |
Regulator
| Insurance regulator | Rhode Island Department of Business Regulation, Insurance Division |
|---|---|
| Consumer hotline | 401-462-9520 |
| Website | dbr.ri.gov/insurance |
| File a complaint | dbr.ri.gov/questioncomplaints |
| Address | 1511 Pontiac Avenue, Cranston, RI 02920 |
Rhode Island has some of the most consumer-friendly life insurance rules in the country: a 20-day free look, and a statute that makes insurers pay 9% annual interest on death claims from the date of death. It also has its own estate tax, with a threshold far below the federal one.
How your policy is protected if an insurer fails
The Rhode Island Life & Health Insurance Guaranty Association was created by the General Assembly in 1985. Every legal reserve insurer licensed to sell life insurance, health insurance or annuities in Rhode Island must belong to it. If a member company is declared insolvent, the association continues coverage, arranges a transfer to a healthy insurer, or pays claims, and assesses the other members for the cost. The limits are from the association's FAQ and R.I. Gen. Laws 27-34.3-3, as checked on October 4, 2026.
| Coverage | Limit |
|---|---|
| Life insurance death benefit | $300,000 |
| Life insurance cash surrender and withdrawal value | $100,000 |
| Individual annuity (present value) | $250,000 |
| Allocated group annuity | $250,000 per contract owner |
| Structured settlement annuity | $250,000 per payee |
| Basic hospital, medical and surgical | $500,000 |
| Disability | $300,000 |
| Long-term care | $300,000 |
| Other health insurance | $100,000 |
| Unallocated group annuity | $5,000,000 per contract holder |
| Overall cap | $300,000 per life, or $500,000 with hospital and medical benefits |
The limits apply per life, no matter how many policies you held with the failed company; three $100,000 annuities with one insolvent insurer would be protected only up to $250,000. One owner of several nongroup life policies is capped at $5,000,000 in total. HMO contracts, self-insured employer plans, policies from unlicensed insurers, interest yields above a statutory average and the non-guaranteed parts of variable products are not covered. Anything above the limits is a claim against the failed insurer's estate.
Guaranty coverage is a backstop, not a reason to buy from a weaker company. The association is a private entity whose members are the licensed insurers, not a state agency, and Rhode Island law prohibits agents and insurers from using it as a selling point. If your insurer is in receivership, keep paying premiums. Background: state life and health guaranty associations and what happens if your life insurance company fails.
Who regulates life insurance in Rhode Island
The Insurance Division of the Department of Business Regulation licenses insurers and producers, reviews policy forms, oversees insurer solvency and takes consumer questions and complaints through an online inquiry system.
Free look, grace periods and policy rules
- Free look: under R.I. Gen. Laws 27-4-6.1, every individual life policy and individual annuity delivered after January 1, 2008 must let you return it within at least 20 days of delivery for a refund of the premium, for any reason. That is double the 10-day minimum many states use. See the free-look period: returning a policy for a refund.
- Grace period: policies must provide a grace period of 31 days or one month for each premium after the first, with coverage in force during that time (27-4-6.2). If the insured dies during the grace period, the insurer may deduct the unpaid premium from the proceeds.
- Interest on death claims: R.I. Gen. Laws 27-4-26 requires insurers to pay interest at 9% a year on life insurance and annuity death proceeds, from the date of death to the date of payment, added to the amount paid. Most states pay a much lower rate, and many start the clock only after proof of death.
Taxes, estates and community property
Rhode Island has a state estate tax. According to the Division of Taxation, it applies for deaths on or after January 1, 2026 when the gross estate is more than $1,838,056; the threshold was $1,802,431 for 2025 and is indexed for inflation each year. Life insurance owned by the deceased counts toward that total even when it is paid directly to a named beneficiary, so a mid-size policy plus a house can create a Rhode Island estate tax bill. Moving ownership to an irrevocable trust is one common response; an estate attorney can say whether it fits. Rhode Island has no inheritance tax. The federal exclusion is $15,000,000 per person in 2026, per the IRS. Rhode Island is not a community property state. See state estate and inheritance taxes and life insurance.
Finding a lost policy or unclaimed benefits
The Insurance Division links to the NAIC Life Insurance Policy Locator, which asks participating insurers to search for policies on a deceased person. Our guide to how to find a lost life insurance policy covers the other places to look. Unclaimed proceeds are eventually turned over to the Office of the General Treasurer's unclaimed property program, searchable free at findrimoney.com. If the insured lived or worked in Massachusetts or Connecticut, search there too. More in unclaimed life insurance money and state unclaimed property.
Life insurers based in Rhode Island
Amica Life, the life insurance arm of Amica Mutual, is based in Lincoln, Rhode Island.
Where to get help
- Rhode Island Insurance Division: 401-462-9520, weekdays 8:30 a.m. to 4 p.m.; [email protected]; 1511 Pontiac Avenue, Cranston, RI 02920; dbr.ri.gov/insurance.
- Complaints: contact the insurer first and ask for a written explanation. If the problem continues, use the division's questions and complaints page to file online. See how to file a complaint against a life insurer for what to include.
- Guaranty association: Rhode Island Life & Health Insurance Guaranty Association, One Citizens Plaza, Suite 1000, Providence, RI 02903, 401-490-3422, rilifega.org.
Sources
- rilifega.org/FAQ
- rilifega.org/About
- rilifega.org/Contact
- webserver.rilegislature.gov/Statutes/TITLE27/27-34.3/27-34.3-3.htm
- nolhga.com/policyholders/how-youre-protected/
- dbr.ri.gov/insurance
- dbr.ri.gov/questioncomplaints
- webserver.rilegislature.gov/Statutes/TITLE27/27-4/27-4-6.1.htm
- webserver.rilegislature.gov/Statutes/TITLE27/27-4/27-4-6.2.htm
- webserver.rilegislature.gov/Statutes/TITLE27/27-4/27-4-26.htm
- tax.ri.gov/tax-sections/estate-tax
- findrimoney.com/
- irs.gov/publications/p555
Rules and limits were checked against these sources on the review date below. Laws change - confirm with the state insurance department or guaranty association.
Profile last reviewed October 4, 2026